ONGOING efforts by the administration of President Bola Tinubu to stimulate continuous investment in the oil and gas industry to support the growth of the Nigerian economy have received a major boost over the Iseni gas project.
Speaking with journalists during the week, NNPCL Chief Corporate Communication Officer, Olufemi Soneye, disclosed that the major boost was recorded as a result of the renewed commitment of NNPC-SPDC Joint Venture towards the project.
According to him, the NNPC-SPDC Joint Venture had committed itself to taking the Final Investment Decision (FID) on the Iseni Gas Project.
Soneye explained further that this decision alone “will see the building of a dedicated upstream facility to supply 100 million standard cubic feet of gas per day (MMSCF) to the domestic market for 10 years.
“(The project) once completed, the additional gas volumes supplied to the domestic market will also translate into significant forex savings for the nation.”
According to Soneye, the intervention by NNPC Ltd. “is poised to sustain the momentum and finalise terms with partners for other upstream gas development projects.”
He noted that adding 100 MMSCF of gas per day to the domestic market translates into feedstock capable of generating 400 Megawatts (MW) of electricity or 1.5 Metric Tonnes Per Annum (MTPa) of Urea.
“Based on the agreed structural design, the project will flow gas from the prolific Iseni wells through a dedicated 24” X 50km pipeline from Iseni into NAG 3 Gas Plant to be constructed at Utorogu.
“The gas will then be processed and injected into the Escravos-Lagos Pipeline System (ELPS) to the domestic market,” he further explained.
Soneye made it clear that this milestone was enabled by the strong collaboration and support for the JV from the Federal Government and NNPC Ltd., under the strategic leadership of the group chief executive officer and guidance of President Tinubu.
Nigeria’s gas reserve is estimated at 206 Trillion Cubic Feet (TCF), and with adequate and consistent investment in the gas value chain, Nigeria could become Africa’s gas powerhouse.
According to Soneye, “This is just one in a series of efforts President Tinubu has instituted in the energy sphere and which is being driven by the NNPCL team led by Mele Kyari as a show of commitment to enhance the standard of living of Nigerians.”